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Ford defends plan to shareholders: ‘We're simply reinventing the American car’

Ford's top executives took heat from shareholders over their plan to do away with sedans as we know them in Ford's North American lineup, as the company held its annual meeting Thursday. Critics said the plan to shelve the Fiesta, Focus and Taurus, reduce the Focus to one crossover model, and concentrate on high-margin trucks and SUVs was a shortsighted abandonment of entire market segments of affordable vehicles. "This doesn't mean we intend to lose those customers," Ford CEO Jim Hackett said. "We want to give them what they're telling us they really want. We're simply reinventing the American car." Ford has said SUVs/crossovers and pickups will constitute 90 percent of its North American lineup by 2020. And though only the Mustang and new Focus Active will remain, it plans to add new vehicles going forward that offer better fuel economy and utility, including EVs and hybrids. Hackett characterized the shift not as an abandonment of traditional cars but as a transformation of them. "We don't want anyone to think we're leaving anything," Hackett said. "We're just moving to a modern version. This is an exciting new generation of vehicles coming from Ford." It was Hackett's first annual meeting as CEO, and for the second year it was conducted online rather than in person. The change to Ford's lineup is part of Hackett's overall plan to cut $25.2 billion in costs by the year 2022. Executive Chairman Bill Ford Jr. blamed the negative reaction to the lineup plan on media coverage. "I wish the coverage had been a little different," he said. "If you got beyond the headline, you'll see we're adding to our product lineup and by 2020 we'll have the freshest showroom in the industry. The headlines look like Ford's retreating. In fact, nothing could be further from the truth." While Ford was clear about its plans for the Blue Oval, it has been less clear about the Lincoln brand. Hackett on Thursday said only that the Lincoln Continental, re-introduced just two years ago, would continue "through its life cycle" — but it has been such a slow seller that rumor has Ford killing the Continental again after that, and Hackett made no mention of a new generation. Presumably the MKZ sedan will go away when its twin the Ford Fusion does, but although Ford has outlined end dates for other models, the Fusion's departure is open-ended. The stock price has been a frustration for investors for years and has fallen 12 percent since the first of the year.

Ford announces four recalls, 1.4M vehicles affected

Ford is taking a bit of the spotlight away from General Motors, announcing a major group of recall campaigns, covering a total of 1.4 million vehicles built between 2006 and 2013.
Let's start with the big one, which covers the Ford Escape, Mercury Mariner and, according to The Detroit News, Ford-built Mazda Tribute CUVs. 915,216 vehicles are covered, all of which were built in model years 2008 to 2011. 736,000 vehicles are in the US, while Canada then Mexico make up the vast majority of the remainder. The problem is due to an issue with the torque sensor in the steering column, which could lead to sudden power steering failure. Manual steering would still be available, though.
"Dealers will perform one of three service fixes, depending upon what diagnostic codes are shown when the vehicle is taken to the dealer," Ford spokeswoman Kelli Felker wrote to Autoblog in an email. "They will either update software for the power steering control module and the instrument cluster module; replace the torque sensor; or replace the steering column, which includes upgraded power steering control module software."

Living Life Large: Driving $2 million worth of cars in one week

Monterey Car Week has quickly become one of my favorite events of the year. There's something for everyone – classic car shows, modern concepts and new vehicle debuts, auctions, racing, and so much more. From a media perspective, there's also a chance to drive a ton of cars. Many automakers bring their latest wares out to Monterey for us to test during our limited free time, and it's a great opportunity to experience fantastic metal against a gorgeous backdrop. That's exactly what I did this year. Instead of flying into Monterey and being driven around, my journey started in Los Angeles and ended in Napa, and I managed to get behind the wheel of some $2 million worth of new cars. Some were old favorites, and many were new experiences. But looking back, this was one of the best weeks of driving I've had in years. Rather than try to come up with some common arc to tie these cars together, here are my notes on all the cars I tested in California earlier this month, presented in the order in which they were driven. 2016 Mazda CX-3 The CX-3 pictured here isn't the exact one I drove in California, but it's close. The only difference was color – my delivered-to-LAX tester wore Mazda's awesome new Ceramic hue (pictured below on the MX-5 Miata). I used the CX-3 to slum through crummy Los Angeles traffic for two hours on the way out to Santa Barbara, with a quick stop at In-N-Out Burger on the way for good measure. A lot nicer inside than I remember. Everyone praises Mazda for its excellence in engineering and design, but there's a lot to be said for the improvements in overall interior refinement. Quiet, comfortable, and well-equipped; the CX-3 made sitting on the 405 freeway a lot more pleasant. Not all that functional. I had a hard time fitting a week's worth of luggage for two people inside. The cargo area and rear passenger compartment were filled, with only enough room on top to see out the back window. A Honda HR-V would've swallowed all that luggage with plenty of room for more. So good to drive. Not surprising, since this wasn't my first time in the CX-3. I knew this CUV would be good on twisty roads, but on the highway it's really exceptional. Road and wind noise are minimal and the overall ride quality is a comfortable sort of sporty. This is definitely something I could drive every day – it's enjoyable during commuting and entertaining on more interesting roads.